DEFA issues tender for construction of LNG import terminal

The state natural gas company of Cyprus, DEFA, has issued a tender for the development of a facility for the import, storage and regasification of LNG at Vasilikos Bay near Lemesos.

The tender was made on behalf of the Natural Gas Infrastructure Co. Ltd (ETYFA).

Following the completion of a feasibility study in 2016, the government of Cyprus decided to proceed with the development.

The government requires the completion of the new LNG import terminal by 30 November 2020.

The LNG Terminal will include a floating storage and regasification unit (FSRU), a jetty for mooring the FSRU, a jetty borne gas pipeline and related infrastructure. The LNG terminal has secured a funding of 40% of the CAPEX, up to €101 million, as a grant from the EU under the Connecting Europe Facility (CEF) financial instruments.

Following the publication of the tender documents, the Chairman of DEFA, Symeon Kassianides said: “This is an important milestone for DEFA, and for the people of Cyprus, who will soon benefit from the cost savings and environmental benefits from the use of natural gas. We expect to issue a request for expressions of interest for the supply of LNG in the coming weeks, and a full tender early in 2019”.